rri corporate presentation september 2019...corporate presentation september 2019. disclaimer...
TRANSCRIPT
CORPORATE PRESENTATION September 2019
Disclaimer
Forward-Looking Statements
This document contains forward-looking statements and factual information that are current as of the date the document was originally created.Riverside Resources Inc. (“the Company”) disclaims any intention or obligation to update or revise any forward-looking statements, whether asa result of new information, future events or otherwise. Forward-looking statements include, but are not limited to, statements with respect to thetiming and amount of estimated future exploration, success of exploration activities, expenditures, permitting, and requirements for additionalcapital and access to data.
Forward looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results,performance or achievements of the Company to be materially different from any future results, performance or achievements expressed orimplied by the forward looking statements. Such factors include, among others, risks related to actual results of current exploration activities;changes in project parameters as plans continue to be refined; the ability to enter into joint ventures or to acquire or dispose of properties; futureprices of mineral resources; accidents, labor disputes and other risks of the mining industry; ability to obtain financing; and delays in obtaininggovernmental approvals of financing
Any statements, opinions, projections, forecasts or other material contained in this presentation do not constitute a commitment, representationor warranty by the company or its directors, officers, agents or employees. The directors, officers, agents and employees of the company shallin no way be liable to any person or body for any loss, claim, demand, damages, costs or expenses of whatsoever nature arising in any way outof, or in connection with, the information contained in this presentation. This presentation does not constitute an offer to sell securities and is nota solicitation of an offer to buy securities. It is not to be distributed to third parties without the consent of the company. An investment in thecompany is considered to be speculative in nature. Each individual should rely solely upon its own investigations and inquiries with respect tothe company and agrees it will not in any way rely upon this presentation. The company recommends that you consult your own professionaladvisor(s).
Qualified Person
The scientific and technical data contained in this presentation relating Riverside’s mineral properties was reviewed by Freeman Smith, P.Geo., a non-independent qualified person to Riverside Resources, who acts as a "qualified person" under National Instrument 43-101 Standards of Disclosure for Mineral Projects.
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Investment Highlights
• Highly experienced & focused
exploration team
• 75,000 Location Database
($20M+ in past investment)
• $3M in cash and +$2M in other
junior resource equities
• Less than 63M shares
outstanding
• New partnerships in 2019
– Exploration Funding Agreement with
BHP (focus on copper)
• Expansion into Canada
• Mexico Project Transactions
• Gold-Silver resource
project + new discovery
drilling in 2019
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Partner-funded Exploration in Sonora, Mexico
Experienced and Balanced Management Team
Management • John-Mark Staude, President & CEO• Alberto Orozco, VP Corporate
Development • Freeman Smith, VP Exploration • Pedro Herrera,
Country Manager (Mexico) • Robert Scott, CFO
Board of Directors & Advisors • John-Mark Staude, Director• Brian Groves, Director• Carol Ellis, Director• James Clare, Director • Walter Henry, Director• Ron Burk, Advisor • Joness Lang, Advisor
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Riverside in the Field with Directors
For full bios please visit Riverside’s
website at www.rivres.com
Highly Experienced Technical TeamJohn-Mark Staude, President & CEO Mr. Staude earned a Masters of Science from Harvard University in 1989 and a Ph.D. in economic geology from the University of Arizona in 1995.
Alberto Orozco, VP Corporate DevelopmentMr. Orozco has 15 years of mining experience working with Linear Gold Corp., Pediment Gold and more recently, Argonaut Gold
Freeman Smith, VP Exploration Mr. Smith has 19 years of professional experience in the resource industry working with Oro Gold, BCGold Corp and GoldplayExplorations.
Pedro Herrera, Country Manager (Mexico) Mr. Herrera holds his MSc. and has more than 20 years of exploration experience throughout Mexico.
Ron Burk, Advisor Mr. Burk has 30 years of work experiencein the minerals industry and contributed in the discovery of the Pitarrilla Project in Durango, Mexico.
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Companies our technical team have formerly worked with
Share Structure and Key Shareholders
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Combined own ~65% of outstanding shares
*European Investor Group consists of high net worth investors and small resource funds
*These amounts are estimated to the best of our knowledge as of September 1, 2019
Issued(since IPO in 2007) 62,691,188
Options 3,941,000
Warrants 17,488,875
Fully Diluted 84,121,063
Cash $3,000,000
52 Week Hi-Lo $0.33 - $0.125
Market Cap ~C$11M
European Investor Group*
Trimark Capital Ltd.
~6%
~7%
~2%
~20%
~30%
Riverside’s Equity Portfolio
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*+$2M CAD deemed value as of September 1, 2019
**Shares held in illiquid private companies/shells
Shares Held by Riverside
+7M*
1M*
~15M** Other Private/Non-Public Companies
Partner Funded Exploration
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Partners
For every $1 Riverside spends on exploration the Company has generated ~$2 in partner-funded exploration.
*since inception
Past Strategic Partnerships
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26 km
40 km
USAMEXICO
Major companies Riverside has had Strategic Alliances with
Exploration Funding Agreement with BHP
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26 km
40 km
USAMEXICO
• BHP to fund US$1M/year for a minimum of two-years for copper generative work
• Focus on the central portion of the Laramide Copper Belt in Sonora, Mexico
• Monthly management feesplus 10% for all work
• Built in success fee paymentsto Riverside at each stage of development
• Three Stages1. Project Generation Phase (I)2. Project Operation Phase (II)
3. Joint Venture Stage (III)
Region of Copper Belt of Mexico and Riverside-BHP Generative program
Progressing the Portfolio
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26 km
40 k
m
USAMEXICO
GOLD SILVER PROJECT Drilling Program Discovery re-rating of
Project
PEÑOLES SILVER-GOLD PROJECT Expanded drilling Project spin-out
OAKES GOLD PROJECT Funded drill program with partner Conserves RRI capital
ARIEL COPPER PROJECT Joint Venture Partnership Expanding RRI’s Copper
exposure
PROJECT 2019 MILESTONE VALUE CREATION
Expanding into Canada
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Oakes Gold Project
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26 km
40 km
USAMEXICO
• Located in Ontario, Canada • Good access and close to
necessary infrastructure
• Historical high-grade gold intercepts
• Riverside’s 1st phase exploration program found *high-grade gold samples of 19.7 g/t Au and 31.9 g/t Au*(see press release July 29, 2019)
• High-grade gold discovery potential
• Identifying and sampling targets for a proposed drill program at the Project
• Available for option
Diverse High Quality Mexico Portfolio
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Los Cuarentas Silver Project
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26 km
USAMEXICO
• 100% Riverside owned
• Located in NE Sonora, Mexico & 17 km NW of
SilverCrest Metals’ Las
Chispas mine with similar geology
• High-grade, low-sulphidationepithermal gold quartz vein system
• Good access and close to necessary infrastructure
• Drill permits approved
• Identifying and sampling targets for a proposed drill program
Cecilia Gold-Silver Project
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26 km
Agua Prieta
40 km
USAMEXICO
CECILIA
Cananea – World-class Porphyry Copper Deposit
• Located in NE Sonora, Mexico, 40 km east of Cananea (Mexico’s largest copper city)
• Good access and close to necessary infrastructure
• Near-surface gold mineralization amenable to open-pit mining
• Riverside’s 1st phase exploration found *high-grade gold and silver assays up to 113 g/t Au & 288 g/t Ag *(see press release June 6, 2017)
• Drill permit approved with drill targets identified
• Identifying and sampling targets for a proposed drill program
Cecilia Gold-Silver Project
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Riverside located 4 (four) new target areas at Cecilia and identified gold rich rock intervals at Cerro Magallanes
Cerro Magallanes
611500
611500
612000
612000
612500
612500
3436
500
3436
500
3437
000
3437
000
CECILIA PROJECTCentral Target Area
Drilling Au Intercepts
Surface rock samplesAu Composites (m @ g/t)
Underground samples Au Composites (m @ g/t)
Structural Target Zone
! Drilling
Target Zone
¯
0 100 200 300m
27m @ 9.20 g/t Au
19m @ 2.37 g/t Au
17m @ 2.88 g/t Au
20m @ 2.44 g/t Au
27m @ 1.31 g/t Au
21m @ 2.44 g/t Au
8m @ 3.11 g/t Au
11m @ 5.38 g/t Au
29m @ 1.64 g/t Au
19m @ 2.11 gr/t Au
12m @ 1.98 g/t Au
8m @ 8.27 g/t Au
8m @ 8.27 g/t Au
25m @ 1.32 g/t Au
25m @ 3.63 g/t Au
16m @ 1.92 g/t Au
San Jose NW
Structure
San Jose NW
Structure
47m @ 1.12 g/t Au
14m @ 2.44 g/t Au
26m @ 1.96 g/t Au
22m @ 1.46 g/t Au
San Jose Target
Aqua Prieta Target
Central Target
East Target
North Breccia Target
*Grades are not true widths - Sampling along structures
PEÑOLES PROJECT
Peñoles Gold-Silver Project
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• 100% Riverside owned
• *500K Oz Au eqNI 43-101 Resource
• 11,500 metres of drilling and open
• All reported resources within 150 metres from surface
• Open in multiple directions, >5 district targets
• Initial Inferred *43-101 resource estimate: – 305,000oz Au
@ 0.46 g/t & – 15,150,000oz + Ag
@ 62.3 g/t
*The El Capitan gold and Jesus Maria silver Inferred Mineral Resource estimates were done by Robert Sim, P.Geo of SIM Geological Inc. Mr. Sim is an
Independent Qualified Person as defined by National Instrument 43-101 Standards of
Disclosure for Mineral Projects and is a co-author of the 43-101 Technical Report on the Peñoles Gold-Silver Project, Durango State, Mexico that was made public on April 16, 2015. “Inferred Mineral Resources” have a great amount of uncertainty as to their existence and economic viability.
• Past partner-funded drilling, underground sampling and trenching at the historical Jesus Maria silver mine discovered high-grade Ag.
• Drill highlights included*:
JM DDH 14-10: 4.25 m at
732.24 g/t Ag & 1.2 g/t Au
JM DDH 14-24: 7.15 m at
988.43 g/t Ag & 1.24 g/t Au
JM DDH 14-26: 3.00 m at 573.8 g/t Ag & 0.29 g/t Au
JM DDH 14-27: 18.7 m at 203.92 g/t Ag & 0.65 g/t Au
*All intercepts above reported within first 150m from surface
*See slide 19 for 43-101 mineral resource estimate statement. Updated in 2019
Peñoles Gold-Silver Project – Jesus Maria Target
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Riverside’s President and CEO, John-Mark Staude, visits historical workings at Jesus Maria
Exploration at Peñoles
Oxide Gold in Veins
La Silla Gold-Silver Project
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• Good access and close to necessary infrastructure
• 23 km2 land package with epithermal Au-Ag vein system
• High-grade Au-Ag samples collected in June 2018*– 19.9 g/t Au– 200 g/t Ag *(see press release June 19, 2018)
• Riverside’s previous exploration program expanded previous work refining targets for potential future drilling
• Riverside has signed a Definitive Agreement*with Sinaloa Resources Inc*(see press release Feb 19,2019)
Schematic Cross-Section Looking West at the Ciruelos Vein
Tajitos Gold Project
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Red Areas = Riverside Concessions
• Located in NW Sonora, Mexico in the heart of the Sonora MegashearGold Belt
• Large 61 km2 land package with orogenic gold system and open pit potential
• High-grade gold previously mined 100% Riverside owned
• Tajitos Project is surrounded by two advanced projects: – Fresnillo PLC’s Tajitos Project – Agnico Eagle’s Pitaya Project
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!(Ì!(Ì
!(Ì!(Ì !(Ì
!(Ì
!(Ì !(Ì!(Ì
!(Ì
!(Ì !(Ì
!(Ì!(Ì
!(Ì
Luz del Cobre/ San Antoniode la Huerta
SanJavier
CuatroHermanosSuaqui
Verde
Los Verdes(San
Nicolas)
TresPiedras
El Creston
WashingtonCumobabi
BellaEsperanza
Pilares
La Caridad
LosAlisos
El Batamote
FloridaBarrigon
HERMOSILLO
EmpalmeGuaymas
Magdalena
Aconchi
AguaCaliente
AguaFria
AguqCalienteRancho
Alamos
Arizpe
Aurora
Bacamuchi
Bacanora
Bacerac
Bacoachi
Banamichi
Baviacora
Bavispe
Carbo
Chalate
Chinapa
Cieneguita
Cumpas
Curea
EjidoLa Galera
El Potrero
Guadalupe
Guasimas
Guisamopa
Horcasitas
Huachinera
HuasabasHuepac
La Colorada
La Igesia
La Misa
LasCalaveras
Los Hovos
Matape
Mazatan
Mazocahui
Moctezuma
Mulatos
Nacori
Nacozari
Opodepe
Oputo
Oritz
Pesqueira
Pimas
Querobabi
Rayon
Rodeo
Sahuaripa
San RafaelSanta Margarita
Suaqui
Tacupeto Tarachi
Tecoripa
Tepache
Tonichi
Torres
Tuape
Turicachi
Ures
Yecora
500000
500000
550000
550000
600000
600000
650000
650000
700000
700000
3100
000
3100
000
3150
000
3150
000
3200
000
3200
000
3250
000
3250
000
3300
000
3300
000
3350
000
3350
000
!(Ì Major Cu Mines
Cu_district
Roads
_̂
Suaqui Teco
¯
Ariel
_̂
0 25 50 km
RRI Copper Portfolio – Available for Partnership
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Riverside has two Copper Assets
Major Mexico Copper Mines
ARIEL PROJECT
TECO PROJECT
ARIEL
TECO
Asset Value Drivers
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26 km
40 k
m
USA
Riverside’s Portfolio & Partnerships
100% Owned Projects
Cecilia Gold/Silver Project
Peñoles Silver-Gold Project
Tajitos Gold Project
Ariel Copper Project
Partner-Funded Projects
Sugarloaf Peak Gold Project
La Silla Gold-Silver Project
Funded Exploration Program
BHP Exploration Partnership Program for copper discovery in Sonora, Mexico
CANADA MEXICOOakes Gold Project
LongroseGold Project
Los CuarentasSilver Project
Upcoming
2019 Catalysts
& Value Drivers
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• Riverside commences Exploration
Funding Agreement with BHP
• Lead generation à Copper Discovery
• Riverside expects to deliver partner-funded
drill program at Oakes Gold Project
• Continued exploration at Riverside
owned projects:
• Cecilia Project: Targets identified & permitted
for drilling
• Los Cuarentas Project: Drill
permitted
• New strategic partnerships to
advance existing 100%-owned
Riverside projects
• New project acquisitions
and portfolio growth:
• Mexico Expansion (Millrock Projects Purchase)
• Canadian Acquisitions
Summary &
Key Takeaways
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• Riverside has $3M in the treasury, no debt & a
strong shareholder base with less than 63M
shares outstanding
• The Company has a strong portfolio of gold-silver and copper
assets in stable jurisdictions
and is actively adding
new quality projects to
the portfolio
• Partners consistently de-risking
the portfolio and advancing projects towards discovery and
resource development with valuation
catalysts of new deals, exploration
results and upcoming drill programs
Riverside Resources Inc.
Suite 550 – 800 West Pender StreetVancouver, BC, Canada V6C 2V6
+1 778.327.6671 x 312